Murphy Oil buys LLOG's Gulf of Mexico assets for 1.38B

Murphy Oil Corp announced on Tuesday it entered into a definitive agreement to acquire Gulf of Mexico assets from LLOG Exploration Offshore LLC in an all-cash deal worth $1.375 billion.

LLOG may be eligible for additional payments of up to $200 million in the event that revenue from certain properties exceeds certain thresholds between 2019 and 2022, and $50 million following first oil from certain development projects.

The transaction, which is expected to close in the second quarter of 2019, is expected to add approximately 32,000 to 35,000 barrels of oil equivalent per day and approximately 66 million barrels of oil equivalent net reserves, the Arkansas-based oil and gas company said in a press release.